Constellation Brands, Inc. stock research
FY2027 Q1
Constellation Brands (STZ) Gross Margin & Quarterly History
Explore Constellation Brands, Inc. (STZ) gross margin from 2023 through the latest reported quarter, using SEC-sourced revenue, gross profit, and direct costs.
Gross margin takeaway
Quarter ended May 31, 2026 · FY2027 Q1
Revenue increased from the prior quarter but decreased from the year-ago quarter. Gross profit improved from the prior quarter and was comparable to a year ago, while cost of revenue rose from the prior quarter but fell from a year ago, resulting in a stronger gross margin both sequentially and year-over-year.
- The gross margin strengthened due to a lower proportion of cost of revenue relative to revenue compared to both prior periods.
- Compared to the prior quarter, revenue and gross profit were higher, and gross margin improved. Compared to the year-ago quarter, revenue was lower, but gross profit was similar, and gross margin improved.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
54.3%
Gross profit
$1.3B
Revenue
$2.4B
Cost of revenue
$1.1B
Quarter-over-quarter change
+1.1 pts
Year-over-year change
+3.9 pts
Quarterly gross margin trend
A four-quarter view of the revenue and direct-cost bridge behind gross margin.
| Period | Revenue | Gross profit | Cost of revenue | Gross margin |
|---|---|---|---|---|
| May 31, 2025 | $2.5B | $1.3B | $1.2B | 50.4% |
| Aug 31, 2025 | $2.5B | $1.3B | $1.2B | 52.8% |
| Nov 30, 2025 | $2.2B | $1.2B | $1.0B | 53.2% |
| May 31, 2026 | $2.4B | $1.3B | $1.1B | 54.3% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Nov 30, 2025
+1.1 pts
Year-over-year change
May 31, 2025
+3.9 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The gross margin strengthened due to a lower proportion of cost of revenue relative to revenue compared to both prior periods.
Compared to the prior quarter, revenue and gross profit were higher, and gross margin improved. Compared to the year-ago quarter, revenue was lower, but gross profit was similar, and gross margin improved.
Monitor the trajectory of cost of revenue relative to revenue, as it was the primary factor behind the margin expansion.
Peer context
Latest available gross margins for related public companies.
| Company | Gross margin |
|---|---|
| Constellation Brands, Inc. (STZ) | 54.3% |